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E-commerce - Essay Example

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Summary
E-commerce refers to the use of modern communication technology and computer systems to exchange information, payments, goods and services over the electronic network. E-commerce has enabled many organizations overcome the challenges of conventional commerce by expanding the…
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E-commerce

Download file to see previous pages... The emergence has been facilitated by the evolution of internet, communication infrastructures and computer systems. The increase in internet content like text messaging and multimedia and support services such as online catalogues, security systems and payment settlement systems have also supported the growth in e-commerce (Pankaj, 2005). Many global organizations have adopted e-commerce in order to increase their market share, create new online subsidiaries, attain a competitive edge in the market, reduce the entry barriers in the global market and reduce the costs of doing business. E-commerce has evolved from the transaction level business to a relationship based business that is characterized by two way communications with full integration of internet capabilities in to the business (Pankaj, 2005).
E-commerce offers several benefits to business organizations, customer sand suppliers. For instance, e-commerce will reduce the costs of creating, processing, distributing and storing good and services (Pankaj, 2005). Business organizations can reduce business overheads involved in selling over the supply chain and the time spent between the outlay of capital and the time the goods and services are received. E-commerce will create a competitive edge for business organizations and enhance the business reputation through improved, new found business opportunities, increased flexibility, enhanced customer service and reduced supply chain time (Laudon & Traver, 2010).
The customers will benefit from increased convenience in shopping since they can access goods and services 24 hours a day at the comfort of their location (Pankaj, 2005). Customers can easily access the recent product information within a short period of time and access a wide variety of commodities. E-commerce had facilitated competition, which has led to new innovative products and discounts to the customers. Customers ...Download file to see next pagesRead More
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